The proposed competition test was part of recommendations from the Competition Commission following its two-year probe into the sector, and would have ensured authorities blocked expansion plans if there were many large grocery stores in the area or if the retailer applying already had a substantial part of the market.

But an appeals tribunal agreed with Tesco that the Commission did not fully take account of the fact that the test, relating to planning decisions for larger stores, might have “adverse effects for consumers”, among other matters.

The tribunal’s decision was met with dismay from the Association of Convenience Stores (ACS), which represents 33,000 local shops. It argued the ruling would slow down the introduction of an effective town centre planning policy.

For more detail, go to weblink: Tribunal decision

For the full appeals tribunal judgement go to weblink: Tribunal judgement

A study of the impact of a new Tesco store on existing retail provision in Beverley, East Yorkshire by retail consultants England and Lyle can be downloaded by clicking here